Technical Analysis of ETH/USD for May 19, 2021

Crypto Industry News:

Graphics card giant Nvidia said the hash rate limiter present on RTX 3060 graphics cards will also be introduced on other RTX 30 series GPUs to deter cryptocurrency miners.

Nvidia announced that it will apply the reduced Ethereum hash rate to its newly manufactured GeForce RTX 3080, RTX 3070 and RTX 3060 Ti graphics cards. Models will be labeled "Lite Hash Rate" or LHR with the aim of delivering GPU cards to target customers, not cryptocurrency miners.

"The reduced hash rate only applies to newly produced LHR cards, not cards already purchased. We believe this extra step will bring more GeForce cards at better prices to the hands of gamers around the world."

Said Matt Wuebbling, Nvidia's global head of marketing for GeForce.

Nvidia reduced the hash rate of its earlier GPU models, announcing in February that the changes had reduced mining efficiency by 50%. However, in March, a driver update from the graphics card manufacturer inadvertently removed the limiter, allowing some cryptocurrency miners to hit 118.9 megahashes per second using Nvidia's RTX 3060 series.

Many users on the VideoCardz computer news site seemed to believe that the extended limits would reduce the incentive for card buyers to immediately resell them at a profit to cryptocurrency miners.

The company will begin selling the new RTX 3080, RTX 3070 and RTX 3060 Ti graphics cards in late May, with the LHR label in the product lists and on the box.

Technical Market Outlook:

The ETH/USD pair has made another wave down to the level of $2,847 which is a 161% Fibonacci extension of the last wave down. There is a lower channel line as well around this level, so the local bounce towards the technical resistance seen at the levels of $3,130, $3,184 and $2,955 is possible. The market is in full control of bears and only a strong breakout above the level of $3,623 (38% Fibonacci retracement of the last wave down) would temporary change the outlook to bullish (but still corrective in nature). The next target for bears is seen at the level of $2,757.

Weekly Pivot Points:

WR3 - $4,859

WR2 - $4,608

WR1 - $3,835

Weekly Pivot - $3,623

WS1 - $2,857

WS2 - $2,581

WS3 - $1,823

Trading Recommendations:

The longer term up trend on the Ethereum continues despite the local counter-trend corrections. The next long term target for ETH/USD is seen at the level of $5,000. The key long term technical support is seen at the level of $3,000, so only a weekly candle close below this level will invalidate the bullish scenario.

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The material has been provided by InstaForex Company - www.instaforex.com

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